Equity Release and Asset Monetization

Raising debt by taking advantage of one’s own assets, even fully amortized, is made possible by a fiducie. It allows to secure financing unprovided by banks with reduced tax frictions.


  • becomes the owner of the assets and secures lenders,
  • allocates (when applicable) income generated by the assets between borrowers and creditors,
  • returns assets to the settlors after full repayment of the debt,
  • all the above transacting in a tax-neutral manner.

Protection of the lender

  • Strength of the collateral trust, especially in the case of insolvency proceedings, owing to a convention de mise a disposition generating revenues allocated to the payment of the debt.
  • Control of the assets and of their value through time.
  • Protective LTV based on the quality of the assets and its cash flow generation.

Convenience for the borrower

  • Retains the use of the property, including its availability for a potential sale (subject to the agreement from the lender)
  • Accesses a new class of lenders, shouldering on the robustness of the fiducie, and secure financing that banks would have normally shunned.
  • Avoids negative tax implications found in other asset-backed financings (e.g. sale & lease-back)
  • Maintains accounting and tax treatment associated with the asset : depreciation & amortization, time allowance on capital gain, revenues,…
  • Predefines, in agreement with the lender and the trustee, terms and conditions of the sale of the asset in case of default: price, time frame, buyers, exclusions…